Apple to integrate Qualcomm's 5G chips in iPhone by 2020, report says
A surprise settlement in a years-long legal battle over licensing and patents has opened the door for Apple to adopt Qualcomm 5G modems, but the chips are not expected to reach iPhone until 2020.
Qualcomm 5G hardware.
Citing a source familiar with the matter, Nikkei reports Apple and Qualcomm were working toward a settlement for weeks, during which time Apple began evaluations of Qualcomm's 5G modem for use in iPhone. In addition to what appears to be internal testings, the tech giant also requested partner manufacturers to test the chip, the report said.
Despite the effort, Apple will not be able to build the chipmaker's 5G silicon into this year's iPhone. The deadline for integration, both in terms of hardware and software, has likely long passed.
"It is too late for Apple to use Qualcomm's chips this year, but for 2020 it will purchase modem chips, including 5G modem chips, from the chipmaker for iPhones after finalizing the deal," according to an unnamed source.
With a settlement secured, Apple is now free to use Qualcomm's 5G technology. Previously, Apple's two-year legal battle with the chipmaker restricted its options to Intel, whose XMM 8160 5G modem is rumored to be hamstrung by delays. A report earlier in April claimed Apple had "lost confidence" in Intel's ability to deliver the chip on time, as the company missed several development deadlines.
"Apple had been a little concerned whether a sole supplier for modems could affect the company's plan to introduce its first 5G smartphone next year," one source told Nikkei.
Apple's search for a viable 5G modem supplier has been well documented over the past few months, with numerous reports noting the tech giant is in dire straits without Qualcomm's participation. The situation changed earlier today, when settlement negotiations were finalized in time to end Apple's original action over withheld rebates and chip licensing fees that just got underway in San Diego.
While specific settlement terms have not been disclosed, the deal includes a multiyear chipset supply agreement and a backdated six-year license agreement with a two-year option to extend. Apple paid a sum to Qualcomm as part of the contract, though the company could regain those funds in rebates if the agreement is structured after Qualcomm's typical contract terms.
How long Apple will rely on Qualcomm hardware remains unknown. The iPhone maker is in the process of developing its own 5G chips for use in future iPhone models. Reports suggest Apple has between 1,200 and 2,000 engineers on the project, including recruits from Intel and Qualcomm, who are working toward a solution predicted to debut as soon as 2021.
Qualcomm 5G hardware.Citing a source familiar with the matter, Nikkei reports Apple and Qualcomm were working toward a settlement for weeks, during which time Apple began evaluations of Qualcomm's 5G modem for use in iPhone. In addition to what appears to be internal testings, the tech giant also requested partner manufacturers to test the chip, the report said.
Despite the effort, Apple will not be able to build the chipmaker's 5G silicon into this year's iPhone. The deadline for integration, both in terms of hardware and software, has likely long passed.
"It is too late for Apple to use Qualcomm's chips this year, but for 2020 it will purchase modem chips, including 5G modem chips, from the chipmaker for iPhones after finalizing the deal," according to an unnamed source.
With a settlement secured, Apple is now free to use Qualcomm's 5G technology. Previously, Apple's two-year legal battle with the chipmaker restricted its options to Intel, whose XMM 8160 5G modem is rumored to be hamstrung by delays. A report earlier in April claimed Apple had "lost confidence" in Intel's ability to deliver the chip on time, as the company missed several development deadlines.
"Apple had been a little concerned whether a sole supplier for modems could affect the company's plan to introduce its first 5G smartphone next year," one source told Nikkei.
Apple's search for a viable 5G modem supplier has been well documented over the past few months, with numerous reports noting the tech giant is in dire straits without Qualcomm's participation. The situation changed earlier today, when settlement negotiations were finalized in time to end Apple's original action over withheld rebates and chip licensing fees that just got underway in San Diego.
While specific settlement terms have not been disclosed, the deal includes a multiyear chipset supply agreement and a backdated six-year license agreement with a two-year option to extend. Apple paid a sum to Qualcomm as part of the contract, though the company could regain those funds in rebates if the agreement is structured after Qualcomm's typical contract terms.
How long Apple will rely on Qualcomm hardware remains unknown. The iPhone maker is in the process of developing its own 5G chips for use in future iPhone models. Reports suggest Apple has between 1,200 and 2,000 engineers on the project, including recruits from Intel and Qualcomm, who are working toward a solution predicted to debut as soon as 2021.
Comments
I would expect that Apple will use more than just Qualcomm for its 5G needs in 2020 and going forward, eventually phasing them out to the smallest possible role, like they have done with Samsung.
I don’t understand the rejoicing on the $QCOM side. I can’t imagine Cook has any confidence in them as a strategic supplier partner after all the BS they have pulled over the last two years
It is just a matter of timing
For myself, It is time to upgrade at least one of our phones. But there is no way that I would want to buy a phone that is soon to be obsolete. That is my feeling and I can pretty much guarantee that will be the feeling in the media as well. People just don't keep phones for a year or two anymore and the media will be merciless if Apple tries to pawn a 4G phone off on us.
But, on the other hand, I wouldn't hesitate to wait a few months till Apple can come out with a product I would want to live with for the next 4-5 years. If Apple does decide to go ahead with its September circus, then I assume they will announce a 5G phone that will soon be available. Otherwise...
As far as whether you'll upgrade or not. I have determined I'll be happy to keep my now 4 year old phone every year now that they don't go to 5G, as that is $1000 that isnt needed to be spent and would inevitably save $1000 down the line assuming it pushes my future upgrades linearly. Your needs and though of course might well not be that.
As for the circus -- I have to question if it continues to be a net positive for Apple or net negative. I have no doubt that they have wondered the same thing.
Can anyone tell me?
The news is most countries will have 5G infrastructure ready by the end of 2020.
Many people are up in arms about the fabulous capabilities of 5G - greater speeds, lower latency, greater device bandwidth. The problem is, the devices that will truly benefit from these advances are not smart phones. Beyond that, if you look at the history of such advances, the benefits are always dramatically overstated and take years longer to actually achieve widespread availability. Heck, there are plenty of areas I still can't get a decent 4G/LTE signal, and 5G signal penetration is abysmal compared to 4G. From what I've read, even human bodies are enough to attenuate the signal.
Apple does this to maximise everything it can squeeze out of one design cycle but it isn't paying off as well as it could and may be backfiring.
Last year's refresh lost a lot of fizz out of the gate. Apple Watch 4 seemed far more newsworthy than what was in reality a solid but tired 'S' cycle iPhone. By the time MWC2019 came around, no one was even talking about the iPhone except to compare it negatively with the phones announced around MWC.
The buzz was around 5G, folding phones and quad cameras etc.
Splitting the release cycle would add a second window of opportunity and allow features that didn't make it into the September/October refresh to be added. It would give marketing something to chew on and give Apple more flexibility in reacting to market trends. People will scoff and guffaw at this last point but there is no denying Apple is playing catch-up and has a way to go to really achieve that.
In a dual release cycle, any delay in a 5G modem (to give just one example) would have been mitigated very easily. Even an intel modem.
Famously, Apple marketing once said (internally): 'we don't have what our customers want' (referring to large screen phones). That, or something similar anyway. If Apple can't get 5G into the 2019 refresh, no doubt they will be pulling their hair out again as fellow marketers go into a 5G frenzy this Christmas.
Anyone assuring 5G will not be on customer's lips this Christmas is very much mistaken.
The problem is that Apple will only be able to tackle the problem a full 18 months from when those two competitors announced their first 5G phones.
Given the choice of phones with and without 5G priced similarly why wouldn't one chose the 5G variant?
Even if anything less than the latest iPhone is unacceptable, waiting one year may be more sensical to many new buyers if aware the next year's model will future-proof them with 5G. Wouldn't that make sense to you too, unless you don't mind buying or typically do buy each years new release anyway?
IIRC, when the 4G came out, the initial modems were power hungry and had poor performance. 5G won't be of any practical use for a smart phone user for several years, so if including a 5G modem means compromising non-5G use then it would be a net negative the vast majority of the time.
Some people have to have the latest technology. Those people tend to upgrade every year or two. Others tend to be satisfied will a functional but less than top of the line phone for 3-4 years (maybe 5 if you push it) for those people, 5G really shouldn't be an issue. If you're still satisfied with your 6 then peak performance isn't an issue for you. Either user will be fine based on how 5G is expected to roll out.
Funny how people and news outlets who are trying to spin a story like to edit quotes to make them fit their agenda. it's a form of lying.
I wouldn't want to be stuck for the next 4-5 years with a phone stuck in the old 4G networks. Apple knows that and that is likely why they settled with Qualcomm. Putting out soon to be obsolete hardware would do irreparable harm to their reputation.